|HSBC’s Anti-Money-Laundering Fixes Leave ‘Much Work to Be Done’|
HSBC has made some progress in improving its anti-money laundering programme, as required by a 2012 deferred prosecution agreement with the US Justice Department, but there remains “much work to be done”, federal prosecutors said.
The government had selected former New York prosecutor Michael Cherkasky to monitor HSBC’s compliance with the agreement. The monitor believes that the leadership of HSBC Group is appropriately committed to addressing the bank’s long-standing compliance deficiencies,” the Justice Department said in the filing. Cherkasky’s findings, which the filing said were made based on unverified information provided by HSBC, suggested the bank must improve the reliability of the data it gathers on its customers and the manner in which that information is shared among affiliates. The independent monitor also found that HSBC must better integrate its various IT and transaction monitoring systems.
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Published on our website on April 30, 2014